President Bola Tinubu has issued a directive to the Bank of Agriculture (BOA) to clear the outstanding N30bn debt owed to agro-dealers and input suppliers under the National Agricultural Growth Scheme (NAGS) and Agro-Pocket. This announcement follows the release of funds from the African Development Bank (AfDB), marking a significant boost for Nigeria’s agricultural sector.
According to a statement released by the bank’s External Media Relations Lead, Judith Ekwebelem, this directive aims to enhance support for farmers and stabilise the nation’s food supply chain. In line with this, the Federal Government has entrusted BOA with the responsibility of managing all agricultural financing programme funds.
“This move represents a pivotal moment for the sector. BOA’s role will be crucial in ensuring the smooth and timely disbursement of funds to vital stakeholders in food production,” Ekwebelem stated.
The N30bn is the second tranche of funds released by the AfDB for the implementation of NAGS-AP. These funds are designated to clear the obligations from the 2024 dry and wet season programmes. Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has emphasised the urgency of this matter, urging all stakeholders to prioritise the process.
The initiative was officially launched on September 18, 2025, with the formal handover of beneficiary data to the bank. Ayo Sotinrin, the Managing Director/Chief Executive of BOA, hailed this as a historic step forward, stressing the importance of this funding in driving the agricultural sector’s growth and ensuring food security.
“This is not just a fund; it’s a bold commitment to ensuring our nation’s food security. We are eliminating bureaucratic delays and directly connecting agro-dealers and suppliers with essential payments,” Sotinrin remarked.
Under the scheme, BOA has set clear guidelines for registered agro-dealers and suppliers, with the prerequisite of opening a BOA account to process payments. The registration is free and can be completed online, further facilitating access to the funds.
Sotinrin called on all beneficiaries to comply with the necessary steps promptly, warning that any delay could disrupt the payment process.
“We are committed to making payments within 24 hours once the conditions are met, and we will provide weekly updates until the process is complete,” he added.
In his recent meeting with Brazilian President Luiz Inácio Lula Da Silva, President Tinubu expressed Nigeria’s commitment to removing all barriers hindering the agricultural sector’s potential. He assured the Brazilian leader that reforms were already in motion to streamline agricultural processes and enhance Nigeria’s global competitiveness.
